OCT 17, 2022 | USD 15

DIGITAL
WEEKLY
E D I T I O N
International Petroleum News and Technology | www.ogj.com

CONTENTS
Volume 120.10b www.ogj.com

4 NEWSLETTER
14 STATISTICS
17 CALENDAR
18 MARKET CONNECTION
18 ADVERTISERS’ INDEX
Petrofac Ltd. earlier this month took
over operatorship of the 1.4-million bbl
Northern Endeavour FPSO on behalf of
the Australian government. Petrofac was
contracted 6 months ago to complete
Phase 1 of decommissioning Northern
Endeavour. Work has been under way
since to prepare the FPSO for discon-
nection. Northern Endeavour is moored
between Laminaria and Corallina oil
fields about 550 km northwest of Darwin
in the Timor Sea. Photo from Petrofac.

221017OGJ001.indd 1 10/13/22 12:01 PM

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 October 17, 2022

OGJ ®

Newsletter International News

for oil and gas professionals
For additional news, data, and analysis,
visit www.ogj.com

GENERAL INTEREST Q U IC K TA K E S Santos increases Mahalo CSG project stake

Santos Ltd. exercised an option to increase its interest in the
SilverBow signs bolt-on deal in South Texas Mahalo coal seam gas project in Denison Trough of central
SilverBow Resources Inc., Houston, has agreed to acquire oil and eastern Queensland north of Rolleston by acquiring an ad-
gas assets in DeWitt and Gonzales counties in Texas, adding to ditional 12.86% from joint venture partner Comet Ridge
the company’s liquids-weighted position in the Karnes trough. Ltd., Brisbane.
The deal, agreed with an undisclosed seller for $87 million Comet Ridge will hold 57.14% and Santos will hold 42.86%.
cash, is the seventh acquisition announced by the company The acquisition is part of the loan-option arrangements put
since August 2021, the company said in a release Oct. 3. in place between the two companies concurrent with Comet
The transaction is comprised of incremental working in- Ridge’s purchase of Australia Pacific LNG Pty Ltd.’s 30% share
terest on SilverBow’s existing acreage as well as new adjacent of the project completed earlier this year.
acreage; provides for extended laterals, additional inventory The option will reduce Comet Ridge’s loan from Santos by
locations, and more efficient development, the company said. $5.14 million (Aus.) to $8.01 million (Aus.).
June 2022 net production from the assets was about 1,100 Santos will assume liability for its $3.43 million (Aus.) share
boe/d (44% oil). The deal adds 5,200 net acres in the oil and of the $8.01 million (Aus.) deferred consideration payable to
condensate windows of Dewitt and Gonzales counties and APLNG. The first $2 million tranche of deferred consideration
adds upside in Austin Chalk, which has been de-risked with is payable to APLNG in June 2023 with Comet Ridge’s share of
one well in the center of acreage block having produced over that tranche now reducing to $1.14 million (Aus.).
200,000 bbl of oil to date, the company said. There will be no change to Comet Ridge’s 100% ownership
In combination with SilverBow’s existing position, the deal of the northern Mahalo Hub blocks.
creates a consolidated 13,000 net acre block with 100 high rate Both parties can now focus on moving the gas project into
of return drilling locations that allows for 70,000 additional production, said Comet Ridge managing director Tor McCaul.
lateral feet to be drilled with 12 fewer wells, the company said. Comet Ridge is continuing discussions with Santos about
Closing is expected in this year’s fourth quarter.  a mutually beneficial arrangement to consolidate the Mahalo
Gas Hub area to a 50/50 joint venture.
Shell emerges as buyer of Corallian asset offshore UK Initial concentration of the Mahalo gas project lies in pro-
Shell UK Ltd. has agreed to acquire the entire issued share duction licenses 1082 and 1083, about 65 km from the Glad-
capital of Corallian Energy Ltd., a privately held UK oil and stone LNG and Jemena gas pipelines to Gladstone. Environ-
gas company, Reabold Resources plc said in a release Oct. 5. mental approvals have been obtained.
Corallian is a privately held UK oil and gas company in which The target coal seams are at shallow depths of 180-400 m.
Reabold Resources holds investment. Mahalo-7 and Mira-6 short lateral pilot wells flowed 1,200-
The $36.7 million (gross) sale agreement sees Shell acquire 1,500 cu ft of gas per meter of coal intersected. The gas is of
interest in license P2596, West of Shetland, which contains high-quality pipeline specifications with a low CO2 content
Block 207/1a and the Victory gas asset. The discovery is con- of 0.05%.
sidered a “fully appraised commercially attractive gas dis-
covery requiring subsea development tie back for production,” Chevron takes stake in deepwater Namibia license
according to Corallian. The environmental statement and Chevron closed a deal with Trago Energy (Pty) Ltd., the Na-
draft development plan for the field was submitted earlier this mibian affiliate of Sintana Energy Inc., for interest in PEL 90 in
year. First gas is targeted for fourth-quarter 2024. Orange basin offshore Namibia.
Reabold agreed in May to acquire all Corallian’s non-Vic- Through a spokesperson, Chevron confirmed to OGJ via
tory UK offshore assets and noted an agreed conditional sale to email that a wholly owned subsidiary, Chevron Namibia Ex-
an undisclosed oil and gas major of the Victory license. ploration Ltd., acquired an 80% working interest in the license.

4 Oil & Gas Journal

221017OGJ004-013.indd 4 10/13/22 12:00 PM

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221017OGJ004-013.indd 5
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8:27 AM
 ICE BRENT / NYMEX LIGHT SWEET CRUDE
$/bbl
US INDUSTRY SCOREBOARD — 10/17
101.00
99.00
97.00
4 wk. 4 wk. avg. Change, YTD YTD avg. Change,
95.00
Latest week 9/30 average year ago1 % average1 year ago1 %
93.00 Product supplied, 1,000 b/d
91.00
Motor gasoline 8,777 9,153 (4.1) 8,749 8,899 (1.7)
89.00 Distillate 3,706 4,139 (10.5) 3,927 4,015 (2.2)
87.00 Jet fuel 1,526 1,496 2.0 1,542 1,322 16.6
Oct. 5 Oct. 6 Oct. 7 Oct. 10 Oct. 11
Residual 315 297 6.1 344 266 29.3
Other products 5,639 5,658 (0.3) 5,723 5,468 4.7
TOTAL PRODUCT SUPPLIED 19,963 20,743 (3.8) 20,285 19,970 1.6
Supply, 1,000 b/d
WTI CUSHING / BRENT SPOT
$/bbl Crude production 12,050 10,775 11.8 11,875 10,956 8.4
91.00 NGL production 5,982 5,474 9.3 5,766 5,179 11.3
Crude imports 6,284 6,453 (2.6) 6,349 6,112 3.9
89.00 Product imports 1,718 2,443 (29.7) 2,062 2,465 (16.3)
87.00 Other supply2 3,015 2,448 23.2 2,637 2,558 3.1
85.00 TOTAL SUPPLY 29,049 27,593 5.3 28,689 27,270 5.2
83.00 Net product imports (4,621) (2,099) — (3,748) (2,618) —
81.00
Refining, 1,000 b/d
79.00
77.00 Crude runs to stills 16,022 15,223 5.2 15,932 15,004 6.2
Oct. 51 Oct. 61 Oct. 71 Oct. 101 Oct. 111 Input to crude stills 16,463 15,741 4.6 16,392 15,511 5.7
% utilization 91.7 86.8 — 91.2 85.2 —
Latest Previous Same week Change,
NYMEX NATURAL GAS / SPOT GAS - HENRY HUB Latest week 9/30 week week1 Change year ago1 Change %
$/MMbtu Stocks, 1,000 bbl
7.000
Crude oil 429,203 430,559 (1,356) 420,887 8,316 2.0
6.900 Motor gasoline 207,460 212,188 (4,728) 225,065 (17,605) (7.8)
6.800 Distillate 110,916 114,359 (3,443) 129,331 (18,415) (14.2)
6.700 Jet fuel–kerosine 36,213 36,750 (537) 41,291 (5,078) (12.3)
6.600 Residual 28,747 27,795 952 28,175 572 2.0
6.500 Stock cover (days)3 Change, % Change, %
6.400
6.300
Oct. 51 Oct. 61 Oct. 71 Oct. 101 Oct. 111 Crude 26.8 26.9 (0.4) 27.6 (2.9)
Motor gasoline 23.6 24.7 (4.5) 24.6 (4.1)
Distillate 29.9 31.9 (6.3) 31.2 (4.2)
Propane 105.0 98.7 6.4 63.4 65.6
ICE GAS OIL / NYMEX ULSD HEATING OIL2 Futures prices4 10/7 Change Change Change,%
¢/gal
400.00 Light sweet crude ($/bbl) 87.70 79.62 8.08 78.33 9.37 12.0
395.00 Natural gas, $/MMbtu 6.79 6.87 (0.08) 57.99 (51.20) (88.3)
390.00
385.00 1
Based on revised figures. 2Includes other liquids, refinery processing gain, and unaccounted for crude oil. 3Stocks divided by aver-
380.00 age daily product supplied for the prior 4 weeks. 4Weekly average of daily NYMEX closing futures prices.
375.00 Source: US Energy Information Administration, Wall Street Journal
370.00
365.00
Oct. 5 Oct. 6 Oct. 7 Oct. 10 Oct. 11

BAKER HUGHES INTERNATIONAL RIG COUNT: TOTAL WORLD / TOTAL ONSHORE / TOTAL OFFSHORE
PROPANE - MT. BELVIEU / BUTANE - MT. BELVIEU 2,400
¢/gal 2,100
105.00 1,852
1,800
104.00 1,617
103.00 1,500
102.00 1,200
101.00
900
100.00 300 235
99.00
0
98.00 Sept. 21 Oct. 21 Nov. 21 Dec. 21 Jan. 22 Feb. 22 Mar. 22 Apr. 22 May 22 Jun. 22 Jul. 22 Aug. 22 Sep. 22
Oct. 51 Oct. 61 Oct. 71 Oct. 101 Oct. 111
Note: Monthly average count

NYMEX GASOLINE (RBOB)3/ NY SPOT GASOLINE4 BAKER HUGHES RIG COUNT: US / CANADA
1,100
¢/gal 1,000
272.00 900
800 762
270.00
268.00 700
266.00 600 533
500
264.00
400
262.00
300 215
260.00 200 167
258.00 100
Oct. 51
Oct. 6 1
Oct. 71
Oct. 10 1
Oct. 11 1

0
1
Not available. 2 Ultra-low sulfur diesel. 3 Reformulated gasoline 7/30/21 8/13/21 8/27/21 9/10/21 9/24/21 10/8/21 7/29/22 8/12/22 8/26/22 9/9/22 9/23/22 10/7/22
blendstock for oxygen blending. 4 Nonoxygenated regular unleaded. 7/23/21 8/6/21 8/20/21 9/3/21 9/17/21 10/1/21 7/22/22 8/5/22 8/19/22 9/2/22 9/16/22 9/30/22
Note: End of week average count

6 Oil & Gas Journal | Oct. 17, 2022

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 Trago will retain a 10% interest in the ultra-deepwater commercial gas production in March. The exploration well
exploration license, which lies in Block 2813B. Chevron will was drilled to a total depth of 1,680 m in August 2022, hitting
carry Trago through initial exploration activities including 3D a gas column of more than 110 m in Miocene Cycle IV/V pin-
seismic and drilling of the first exploration well. Post carry nacle carbonate reservoirs, increasing gas resources within the
period, Trago will be responsible for approved expenses as- block, the operator said.
sociated with its interest, the company said in release Oct. 4. The discovery builds on exploration successes in the re-
Additional terms were not disclosed. gion and “confirms the large potential of this proven carbonate
The southern boundary of PEL 90 lies 60 km from the play type in Central Luconia,” said Mohamed Firouz Asnan,
TotalEnergies-operated Venus-1 light oil discovery, where 84 PETRONAS senior vice-president of Malaysia petroleum man-
m of net oil pay was encountered in good quality Lower Cre- agement. PETRONAS holds 25% interest in the block.
taceous reservoir. Mubadala Energy, which recently changed its name from
The license covers 5,433 sq km offshore southern Namibia Mubadala Petroleum, is operator of the block with 55% in-
in water depths of 2,300-3,300 m. terest. PETRONAS Carigali Sdn Bhd holds 25% and Sarawak
Shell Berhad holds the remaining 20%.
EXPLORATION & DEVELOPMENT Q U IC K TA K E S
TotalEnergies lets contract for work offshore Angola
ONE-Dyas to develop gas field offshore Netherlands TotalEnergies EP Angola has let a contract to McDermott In-
ONE-Dyas BV made a final investment decision to develop ternational for work on the Begonia project, offshore Angola.
N05-A gas field in the North Sea. Begonia, in Block 17/06, will collect hydrocarbons from a
The field is part of “Gateway to the Ems” (GEMS), about 20- reservoir via subsea tieback to an existing floating production,
100 km north of the mouth of the Ems River in northwestern storage, and offloading (FPSO) vessel. Water depth at the site
Germany. The proposed N05-A platform will be in the Neth- is 400-750 m.
erlands, about 1.5 km from German waters and will be the Production from three wells will be gathered through a 20
first Dutch offshore gas treatment platform in the North Sea to km multiphase production flowline, and two water injection
run entirely on wind energy. For this purpose, a cable will be wells are connected to an existing riser. After commissioning,
installed to the nearby Riffgat German wind farm. expected in late 2024, it will add 30,000 b/d to the FPSO’s
With development, the project will contribute to natural gas production (OGJ Online, July 28, 2022).
to the Netherlands and Germany with emissions close to zero, The contract to McDermott includes engineering, procure-
said Chris de Ruyter van Steveninck, chief executive officer of ment, supply, construction, installation, pre-commissioning,
ONE-Dyas. Further, he said, the company has “agreed to pro- and assistance to commissioning and start-up (EPSCI). Mc-
duce natural gas from the GEMS area only as long as there is do- Dermott will provide all EPSCI services for subsea umbilicals,
mestic demand for natural gas in the Netherlands and Germany.” water injection, and production flowlines.
As the project now enters preparations and investments McDermott will utilize the North Ocean 102 to install
(over 500 million euro), natural gas from the field is expected umbilicals, and the Amazon to install rigid pipelines. Project
to be available to Dutch and German households ahead winter management and engineering will be executed in London,
2024, he said. UK, and Kuala Lumpur, Malaysia. Fabrication will take place
The expected volume to be produced from N05-A field and in Angola, West Africa.
surrounding prospects is 4.5-13 billion normal cu m. Potential The service provider values the contract at $250-500 million.
of the wider Dutch-German GEMS field has been estimated TotalEnergies is operator at Block 17/06 with 30% interest.
at 50 billion normal cu m, depending on exploration success. Partners are Sonangol P&P (30%), SSI (27.5%), ACREP/Somoil
The Ministry of Economic Affairs and Climate (EZK) (5%), Falcon Oil (5%), and PTTEP (2.5%).
awarded final permits for field development June 3, 2022.
The Environmental Impact Assessment Committee concluded Lakes Blue begins PNG Cape Vogel region exploration
Feb. 18, 2022, that the environmental impacts have been suf- Lakes Blue Energy NL, Sydney, has started first phase explora-
ficiently outlined, and that the utility and necessity of the tion in its technical collaboration agreement with TotalEner-
N05-A project have been satisfied. gies in the Cape Ward Hunt and Cape Vogel regions of eastern
ONE-Dyas is operator at GEMS. Partners are Energie Be- Papua New Guinea.
heer Nederland (EBN) and Hansa Hydrocarbons Ltd. Work involves rock and fluid sampling (liquids and gas)
from locations where the potential source and reservoir rocks
Mubadala Energy discovers gas offshore Malaysia outcrop and where oil and gas seeps have been reported.
Mubadala Energy, Abu Dhabi, discovered gas in Block SK320, Recent reconnaissance activities and discussions with local
Central Luconia province, offshore Malaysia. province leaders have identified previously unrecorded oil
Cengkih-1, about 220 km off the coast of Bintulu, Sar- seeps that will be targeted during the field work program, the
awak, is near Pegaga field, also within the block, which started company said.

8 Oil & Gas Journal | Oct. 17, 2022

221017OGJ004-013.indd 8 10/13/22 12:00 PM

 Samples will be collected from both onshore and offshore the sidetrack optional well will be logged and then plugged back
locations surrounding the predominantly offshore PPL560 to surface, the well will be sealed, plugged and the casing cut off
permit in Buna subbasin off the country’s northeast coast near below surface. No equipment will remain on the sea floor.
Popondetta. In some cases, samples will be taken where local Eco Atlantic is operator at Block 2B with 50% interest. Part-
fishermen have observed gas bubbling from the seafloor. ners are Africa Energy Corp. (27.5%), Panoro 2B Ltd., a subsidiary
Sampling will take about 1 month, after which, the samples of Panoro Energy ASA (12.5%), and Crown Energy AB (10%).
will be shipped to France for analysis by TotalEnergies to con-
firm the presence of a working hydrocarbon system. CNOOC to drill WZ12-8E Phase 2 in Beibu Gulf
TotalEnergies will have the option, at its cost, to undertake a China National Offshore Oil Corp. (CNOOC) will drill an ad-
seismic acquisition program to delineate the PPL560 Buna pros- ditional three to five wells for Weizhou (WZ) 12-8E Phase 2 in
pect, which has potential to hold multi-tcf of gas, Lakes said. Beibu Gulf Block 22/12 in the South China Sea, according to a
The program could then lead to drilling a Buna wildcat. Sept. 30 release by partner Horizon Oil Ltd.
The wells will be drilled in about 40 m of water using
DRILLING & PRODUCTION Q U IC K TA K E S the Strike rig used in Phase 1. The rig is currently drilling
appraisal-infill wells in the WZ6-12 area. The program is ex-
Neptune to continue increased Duva gas supplies to UK pected to be complete in the next 2 weeks with the rig re-
Neptune Energy plans to further increase gas production from turning to WZ12-8E field in late October.
Duva oil and gas field in the Norwegian North Sea through Strong production from Phase 1 wells, short-term avail-
a new permit allowing for additional supply of gas to the UK ability of the Strike rig, and demonstrated efficient rig perfor-
this winter. mance—which has been in Block 22/12 for 7 months—led to
The extended supply is enough to heat a further 550,0001 approval of the second-phase drilling program.
UK homes per day, the company said in a release Oct. 6. The six WZ12-8E Phase 1 production wells were producing
In April, Norwegian authorities granted the operator and 6,359 b/d of oil (gross) in September, following commissioning
its Duva license partners a permit to temporarily increase of the water processing and disposal system on the WZ12-8E
gas production by 6,500 boe/d until September. Under the wellhead platform, freeing up pipeline capacity to allow in-
new permit, the higher production rate will be maintained creased rates from the WZ12-8E wells.
until yearend. Total Block 22/12 Beibu Gulf production on Sept. 25,
Duva’s production is around 40,000 boe/d, of which 15,000 including WZ12-8E, was 14,486 bo/d gross. The WZ6-12
boe/d is natural gas. Duva is a subsea installation with three oil workover program was completed in August and the rig then
producers and one gas producer, tied back to the Neptune-op- proceeded to drill the WZ6-12 M3 appraisal well in early
erated Gjøa semisubmersible platform. The gas is transported September. M3 did not intersect commercial hydrocarbons
by pipeline to the UK’s St Fergus gas terminal. and was immediately sidetracked to drill a WZ6-12 M1 in-
Neptune Energy is operator at Duva with 30% interest. fill well—a follow-up to the development well drilled in 2021.
Partners are INPEX Idemitsu (30%), PGNiG Upstream Norway The M1 sidetrack intersected oil in at least three reservoirs and
(30%), and Sval Energi (10%). will be batch-completed and brought onto production together
The company is operator at the Gjøa license (30% interest). with the WZ6-12 North infill well.
Partners are Petoro (30%), Wintershall Dea Norge (28%), and CNOOC is operator of the block with partners Horizon,
OKEA (12%). Roc Oil, and Majuko Corp.

Eco Atlantic begins Gazania-1 exploration PROCESSING Q U IC K TA K E S

drilling offshore South Africa
Eco Atlantic has started operations on the Gazania-1 explora- BASF lets contracts for Zhanjiang
tion well following arrival of the Island Innovator semisub- petrochemical megacomplex
mersible drilling rig on Block 2B offshore South Africa. BASF SE has let two contracts to Fluor Corp. to provide engi-
Eco is drilling 25 km offshore the Northern Cape in Or- neering, procurement, and construction management (EPCM)
ange Basin South Africa in about 150 m of water. Gazania-1 is services for the addition of a new unit and related infrastruc-
being drilled to a depth of 2,800 m through a multizone pay ture as part of the ongoing construction of subsidiary BASF
section and up dip of the AJ-1 discovery well on the block, Integrated Site (Guangdong) Co. Ltd.’s grassroots Verbund
which proved about 50 million bbl of contingent resources, chemicals manufacturing site in Zhanjiang, Guangdong Prov-
the company said in a release Oct. 4. ince, China.
The Gazania-1 prospect is targeting over 300 million bbl of As part of the contracts covering two primary packages
light oil. Pending discovery in the vertical section, the joint ven- of the site’s development, Fluor will deliver EPCM services
ture partners have the option to directionally drill a second side- for a new ethylene oxide (EO)-ethylene glycol (EG) deriva-
track well from the main well bore. Both the vertical well and tive unit, as well as for infrastructure, offsites, and utilities,

Oil & Gas Journal | Oct. 17, 2022 9

221017OGJ004-013.indd 9 10/13/22 12:00 PM

 including unidentified site infrastructure, utility genera- PTTEP lets contract for Malaysian gas plant,
tion, and site logistics, the service provider said. carbon capture project
Performance of additional unidentified services as part PTT Exploration and Production Public Co. Ltd. (PTTEP),
of the project’s centralized program management team ac- through subsidiary PTTEP HK Offshore Ltd. (PTTEP HKO),
tivities are also covered by the contracts, according to Fluor. has let a contract to Technip Energies to deliver front-end en-
In its early October announcement, Fluor confirmed the gineering design (FEED) for an onshore gas plant (OGP) to
combined value of the two reimbursable EPCM contracts at process sour production from Lang Lebah field in the Sarawak
more than $2 billion, which the service provider booked in SK 410B project, about 90 km offshore Malaysia.
third-quarter 2022. Technip Energies’ scope of work on the FEED contract
Contract awards for the EO-EG unit and associated in- covers design of the Lang Lebah OGP 2, including integrated
frastructure packages for the Zhanjiang complex follow flow assurance of a native carbon dioxide (CO2) capture,
BASF’s September 2022 commissioning of the site’s first compression, and transportation system that will connect via
plant, which will initially produce 60,000 tonnes/year pipeline back to the offshore wellhead platform for reinjec-
(tpy) of engineering plastics before increasing production tion, the service provider said on Oct. 6.
capacity to 420,000 tpy in 2023 to meet growing demand Following treatment at the Lang Lebah OGP 2, offshore
by the Asia Pacific’s automotive and electronics industries, gas produced from Lang Lebah field will be delivered to the
BASF said on Sept. 6. Malaysia LNG complex, according to Technip Energies.
Startup of the first plant at the integrated Zhanjiang Ver- To be sited within the Petchem Industrial Park in Tan-
bund site follows BASF’s final investment decision (FID) jung Kidurong, Bintulu, Sarawak, the Lang Lebah OGP 2 is
in July 2022 to move forward with main construction of a key project of the Sarawak Integrated Sour Gas Evacua-
the project’s core production complex, including a steam tion System (SISGES), a joint development of Sarawak State
cracker equipped to produce 1 million tpy of ethylene for Government and Petronas, Sarawak Shell Bhd., and PTTEP
use in a series of unidentified downstream derivatives units HKO to spur increased development of untapped sour gas
planned for the complex. resources off the coast of Sarawak.
First announced in 2018 and officially cleared for con- The contract award for the OGP follows PTTEP HKO’s
struction of early units in late 2019, the Zhanjiang Verbund mid-January 2021 completion of the Lang Lehah-2 ap-
integrated production site will require an overall investment praisal well that, showing a flow rate of 50 MMcfd of gas,
of more than $10 billion—BASF’s largest ever—by its full accelerated the operator’s development plan for the project.
completion in 2030, the operator said. At the end of second-quarter 2022, PTTEP said Lang
Designed to serve as a global role model for smart manu- Lebah field—the company’s largest gas discovery ever—
facturing and sustainable production, the Zhanjiang Verbund was undergoing a development study to reflect larger an-
site—which is to be powered with 100% renewable electricity ticipated gas volumes, including a potential increase of the
by 2025—currently is slated to commission its second plant— OGP’s processing capacity as well as ways to manage higher
which will produce thermoplastic polyurethanes (TPU)—in CO2 content to meet greenhouse gas (GHG) emissions tar-
2023, with startup of the complex’s steam cracker to follow in gets, according to the operator’s quarterly earnings report.
late 2025. Additional details of the carbon capture and storage system
An expansion phase involving construction of additional planned for Lang Lebah OGP 2 have yet to be revealed.
downstream plants for production of other petrochemicals In its latest presentations to investors in August-September
and intermediates is scheduled to completed and in operation 2022, PTTEP said it expects to take final investment decision
by 2028, according to BASF. (FID) on the SK 410B project in 2023.
Part of the operator’s Verbund approach that implements Operator PTTEP HKO holds 42.5% interest in SK 410B
advanced digitalization technologies into plant operations to alongside partners KUFPEC Malaysia (SK-410B) Ltd. (42.5%)
improve production reliability and efficiency, BASF said its and Petronas Carigali Sdn. Bhd. (15%).
Zhanjiang Verbund integrated chemical manufacturing hub
supports the company’s commitment to meeting the Asia Pa- TRANSPORTATION Q U IC K TA K E S
cific’s rising demand for basic chemical components in a way
that also advances a regional circular economy in line with the PGNiG secures 10 years of natural
global energy transition. gas through Klaipeda LNG
Supporting its goal of net-zero emissions by 2050, BASF Polish-state Polskie Górnictwo Naftowe i Gazownictwo SA (PG-
signed a purchase agreement for renewable electricity with NiG) has secured 0.5 billion cu m/year (bcmy) of regasification
China Resources Power of Hong Kong in June 2021 to enable capacity at the 3.75-bcmy Klaipeda LNG terminal in Lithuania.
operation of the first plants at Zhanjiang Verbund entirely on PGNiG’s term offtake will begin Jan. 1, 2023, and last for 10 years.
renewable energy, the operator said in its 2021 annual report PGNiG began using Klaipeda LNG earlier this year, with its
to shareholders. first cargo delivered May 6, 2022, and has received a total of

10 Oil & Gas Journal | Oct. 17, 2022

221017OGJ004-013.indd 10 10/13/22 12:00 PM

 seven cargoes through the terminal to date. Gas is either sold Northern Territory Minister Madelaine King said the new
to customers in the Baltic States or transported to the Polish agreement means the projected gas shortfall will be avoided
market via the 2-bcmy Gas Interconnection Poland–Lithuania and that there is now no current need to activate the Australian
pipeline, which also began operations earlier this year (OGJ Domestic Gas Security Mechanism.
Online, May 9, 2022).
PGNiG is one of multiple European companies signing Linden buys 10% capacity on newly
LNG supply agreements in an effort to reduce the continent’s operating IGB natural gas pipeline
dependence on Russian gas following its invasion of Ukraine. Linden Energy Holding Inc. has finalized its participation as
Earlier this week, RWE signed an MoU with ADNOC for a 20-year holder of 10% of capacity on the 3-billion cu m/
long-term supplies also starting in 2023 (OGJ Online, Sept. year (bcmy) Interconnector Greece-Bulgaria (IGB) natural
30, 2022). gas pipeline.
With this agreement, terminal operator Klaipedos Nafta said The 162-km IGB began commercial operations Oct.
it had concluded its long-term regasification capacity allocation. 1, 2022. It connects the two countries’ transmission sys-
tems, carrying gas produced in Azerbaijan and transported
Australian government signs HoA through Greece via the 10-bcmy Trans-Adriatic Pipeline
with Curtis Island LNG exporters (TAP) to Greece, Bulgaria, and greater Europe. TAP con-
The Australian Government signed a Heads of Agreement nects to the 16-bcmy Trans-Anatolian Pipeline at the Greek-
(HoA) with the country’s three joint ventures exporting LNG Turkish border.
through Curtis Island plants in Queensland to secure competi- Linden in August 2022 finalized its acquisition of 50% of
tively priced gas for the east coast domestic market. Bulgarian natural gas distribution company Overgas Inc. AD.
The aim is to prevent a gas supply shortfall, improve security PJSC Gazprom owns the other 50%.
and affordability of future domestic gas supply, and introduce Overgas in July 2022 signed a tentative 10-year agreement
transparency measures for improved customer information. with Excelerate Energy Inc. for 1 bcmy of gas from Excelerate’s
New commitments from the JVs, led by Shell (Queensland planned 5-bcmy Vlora LNG terminal on the Albanian coast.
Curtis LNG), Santos (Gladstone LNG),
and Origin Energy (Australia Pacific
LNG), will lead to an extra 157 petajoules
of gas for the domestic market in 2023,
with gas to be supplied in line with sea-
sonal demand, the government said.
Under the HoA, LNG exporters will
offer uncontracted gas to the domestic
market on competitive terms with reason-
able notice before seeking export sales. Do-
mestic gas customers will not pay more for
the LNG than international customers.
There also will be enhanced ac-
countability, with quarterly compliance
reporting to the Federal Minister for Re-
sources and oversight by the competition
watchdog, the Australian Competition
and Consumer Commission (ACCC).
Prior to signing, exporters had ex-
pressed concern that any precipitate
move to head off the forecast 2023 gas
supply shortfall could damage Australia’s
sovereign risk and scare off foreign in-
vestment in the country’s gas resources.
However, the HoA has been wel-
comed by the exporters. Santos said the
arrangement respects existing export
contracts, thus safeguarding Australian
exporters’ relationships with interna-
tional markets.

Oil & Gas Journal | Oct. 17, 2022 11

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221017OGJ004-013.indd 11 10/13/22 12:00 PM

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 STATISTICS
Additional analysis of market trends is available
through OGJ Online, Oil & Gas Journal’s digital
information source, at http://www.ogj.com.
IMPORTS OF CRUDE AND PRODUCTS
— Districts 1-4 — — District 5 — ———— Total US ————
9-30 9-23 9-30 9-23 9-30 9-23 10-1*
2022 2022 2022 2022 2022 2022 2021
––––––––––––––––––––––––— 1,000 b/d ––––––––––––––––––––––––—
Total motor gasoline.............. 479 507 1 18 480 525 1,088
  Mo. gas. blending comp..... 430 295 1 0 431 295 887
Distillate................................ 79 84 2 10 81 94 298
Residual............................... 156 135 0 0 156 135 92
Jet fuel-kerosine................... 6 8 0 132 6 140 279
Propane-propylene............... 49 89 33 23 82 112 91
Other.................................... 418 729 149 106 567 835 737
Total products....................... 1,187 1,552 185 289 1,372 1,841 2,585
Total crude............................ 4,740 5,263 1,207 1,186 5,947 6,449 7,035
Total imports......................... 5,927 6,815 1,392 1,475 7,319 8,290 9,620
*Revised.
Source: US Energy Information Administration
Data available at Oil & Gas Journal Research Center.

EXPORTS OF CRUDE AND PRODUCTS OGJ CRACK SPREAD

–––––––––––––––– Total US –––––––––––––––– 10-7-22* 10-8-21* Change Change,
9-30-22 9-23-22 *10-1-21 ———–—$/bbl ——–—— %
––––––––––––––– 1,000 b/d –––––––––––––––
Finished motor gasoline 796 985 404 SPOT PRICES
Jet fuel-kerosine 130 108 115   Product value 127.66 99.83 27.83 27.9
Distillate 1,656 1,287 768   Brent crude 90.68 81.44 9.24 11.3
Residual 46 120 123   Crack spread 36.98 18.39 18.59 101.1
Propane/propylene 1,385 1,475 1,250
Other oils 2,048 2,363 2,181 FUTURES MARKET PRICES
Total products 6,061 6,338 4,841 One month
Total crude 4,551 4,646 2,114
Total exports 10,612 10,984 6,955   Product value 129.01 100.20 28.81 28.8
  Light sweet crude 87.80 78.33 9.47 12.1
NET IMPORTS   Crack spread 41.21 21.87 19.34 88.4
Total (3,293) (2,694) 2,665 Six month
Products (4,689) (4,497) (2,256)   Product value 118.80 99.61 19.19 19.3
Crude 1,396 1,803 4,921   Light sweet crude 81.68 75.59 6.09 8.1
  Crack spread 37.12 24.02 13.10 54.5
*Revised.
Source: Oil & Gas Journal *Average for week ending.
Data available at Oil & Gas Journal Research Center. Source: Oil & Gas Journal
Data available at Oil & Gas Journal Research Center.

CRUDE AND PRODUCT STOCKS

—–– Motor gasoline —––
Blending Jet fuel, ————— Fuel oils ————— Propane-
Crude oil Total comp. kerosine Distillate Residual propylene
District ———————————————————————————— 1,000 bbl —————————————————–––———————
PADD 1.................................. 8,118 54,240 51,155 8,520 25,513 4,703 8,173
PADD 2.................................. 110,222 43,941 39,190 7,081 27,283 798 24,465
PADD 3.................................. 240,843 78,611 71,872 11,494 43,348 18,375 46,728
PADD 4.................................. 23,142 5,993 5,089 652 3,621 194 1
5,025
PADD 5.................................. 46,878 24,675 22,860 8,465 11,152 4,677 —

Sep. 30, 2022......................... 429,203 207,460 190,166 36,212 110,917 28,747 84,391
Sep. 23, 2022......................... 430,560 212,188 193,507 36,750 114,358 27,796 82,828
Oct. 1, 20212........................... 420,887 225,065 207,493 41,290 129,332 28,175 72,288
1
Includes PADD 5. 2Revised.
Source: US Energy Information Administration
Data available at Oil & Gas Journal Research Center.

REFINERY REPORT—SEPTEMBER 30, 2022

REFINERY ––––––––––––––––––––––––––– REFINERY OUTPUT ––––––––––––––––––––––––––––
–––––– OPERATIONS –––––– Total
Gross Crude oil motor Jet fuel, ––––––– Fuel oils –––––––– Propane-
inputs inputs gasoline kerosine Distillate Residual propylene
District ––––––– 1,000 b/d –––––––– –––––––––––––––––––––––––––––––– 1,000 b/d ––––––––––––––––––––––––––––––
PADD 1.............................................. 702 687 3,156 73 207 41 240
PADD 2.............................................. 3,828 3,829 2,505 256 1,189 34 524
PADD 3.............................................. 9,031 8,758 2,106 756 3,127 114 1,436
PADD 4.............................................. 611 612 373 39 199 14 1
257
PADD 5.............................................. 2,215 2,075 1,415 397 466 110 —
Sep. 30, 2022..................................... 16,387 15,961 9,555 1,521 5,188 313 2,457
Sep. 23, 2022..................................... 16,255 15,751 9,853 1,522 4,958 273 2,515
Oct. 1, 2021....................................... 16,237 15,744 9,745 1,342 4,778 189 2,350

17,944 Operable capacity 91.3% utilization rate

1
Includes PADD 5. Revised. 2

Source: US Energy Information Administration

Data available at Oil & Gas Journal Research Center.

14 Oil & Gas Journal | Oct. 17, 2022

221017OGJ014-016.indd 14 10/13/22 12:00 PM

 STATISTICS
OGJ GASOLINE PRICES BAKER HUGHES RIG COUNT OGJ PRODUCTION REPORT
1
10-7-22 2
10-8-21
Price Pump Pump 10-7-22 10-8-21 (Crude
oil and lease condensate) –—— 1,000 b/d —–—
ex tax price* price*
Alabama.................................. 10 12
10-5-22 10-5-22 10-6-21 Alabama............................................ 0 0 Alaska..................................... 434 432
————— ¢/gal ————— Alaska................................................ 10 5 California................................ 339 381

Arkansas............................................ 0 0 Colorado.................................. 423 441
(Approx. prices for self-service unleaded gasoline) California........................................... 7 7 Florida..................................... 3 4
Atlanta........................... 239.3 295.2 293.2  Land................................................ 7 7 Illinois..................................... 18 20
Baltimore....................... 268.0 322.5 295.2  Offshore........................................... 0 0 Kansas.................................... 81 77
Boston............................ 323.4 368.3 301.2 Colorado............................................. 21 11 Louisiana................................ 1,453 1,048
Buffalo........................... 287.4 354.0 308.7 Michigan................................. 12 12
Florida................................................ 0 0 Mississippi.............................. 33 37
Miami............................. 282.0 343.9 299.2 Illinois................................................ 1 1 Montana.................................. 60 55
Newark........................... 265.3 334.4 317.2 Indiana.............................................. 0 0 New Mexico.............................. 1,573 1,361
New York........................ 293.7 360.3 328.2 Kansas............................................... 0 0 North Dakota........................... 1,040 1,103
Norfolk........................... 266.7 319.5 293.6 Kentucky............................................ 0 0 Ohio......................................... 54 48
Philadelphia................... 271.8 348.9 317.2 Louisiana........................................... 62 45 Oklahoma................................ 406 399
Pittsburgh...................... 275.2 352.3 319.8   N. Land............................................ 46 34 Pennsylvania........................... 13 16
Wash., DC....................... 294.8 347.0 324.2   N. Inland waters.............................. 0 0 Texas....................................... 5,439 5,221
  PAD I avg................... 278.9 340.6 308.9 Utah........................................ 121 102
  S. Inland waters............................... 3 1 West Virginia........................... 45 51
  S. Land............................................ 1 1 Wyoming.................................. 248 233
Chicago.......................... 372.7 450.7 388.1  Offshore........................................... 12 9 Other states............................ 34 30
Cleveland....................... 331.4 388.3 308.5 Maryland............................................ 0 0
Des Moines..................... 314.0 362.4 295.5 Michigan............................................ 0 1  Total 11,839 11,083
Detroit............................ 334.9 398.5 328.5 Mississippi......................................... 0 0
1
OGJ estimate. 2Revised. Source: Oil & Gas Journal.
Indianapolis................... 323.3 391.5 324.4 Montana............................................. 1 1 Data available at Oil & Gas Journal Research Center.
Kansas City.................... 310.2 348.5 288.1 Nebraska............................................ 0 0
Louisville........................
Memphis........................
306.1
300.6
350.5
346.4
313.4
302.5
New Mexico........................................ 113 86 US CRUDE PRICES 10-7-22
New York............................................ 0 0 $/bbl*
Milwaukee...................... 306.6 357.9 303.4 North Dakota...................................... 38 22
Minn.-St. Paul................ 329.2 378.2 299.0 Alaska-North Slope 27°.......................................... 95.42
Ohio................................................... 10 11 Light Louisiana Sweet............................................ 88.01
Oklahoma City................ 311.0 349.4 283.5 Oklahoma........................................... 65 41 California-Midway Sunset 13°............................... 86.75
Omaha........................... 316.9 361.0 297.7 Pennsylvania...................................... 23 17 California-Buena Vista Hills 26°............................ 98.68
St. Louis......................... 308.4 346.7 285.5 South Dakota..................................... 0 0 Southwest Wyoming Sweet..................................... 85.70
Tulsa.............................. 307.5 345.9 278.5 Texas.................................................. 360 247 East Texas Sweet.................................................... 86.25
Wichita........................... 307.8 350.2 286.3  Offshore........................................... 0 1 West Texas Sour 34°............................................... 84.00
  PAD II avg.................. 318.7 368.4 305.5   Inland waters................................... 0 1 West Texas Intermediate......................................... 89.00
Oklahoma Sweet.................................................... 89.00
  Dist. 1.............................................. 31 17 Texas Upper Gulf Coast.......................................... 82.75
Albuquerque................... 285.2 322.5 311.3   Dist. 2.............................................. 23 16 Michigan Sour........................................................ 81.00
Birmingham................... 261.7 311.4 279.4   Dist. 3.............................................. 10 3 Kansas Common.................................................... 88.25
Dallas-Fort Worth........... 266.4 304.8 278.3   Dist. 4.............................................. 23 9 North Dakota Sweet................................................ 88.25
Houston.......................... 283.0 321.4 277.3   Dist. 5.............................................. 4 0 *Current major refiner’s posted prices except N. Slope lags 2 months.
Little Rock...................... 258.2 301.4 283.5   Dist. 6.............................................. 28 15 40° gravity crude unless differing gravity is shown. Source: Oil & Gas
New Orleans................... 271.7 310.1 273.6   Dist. 7B............................................ 3 3 Journal. Data available at Oil & Gas Journal Research Center.
San Antonio.................... 267.7 306.1 277.5   Dist. 7C............................................ 29 21
  PAD III avg................. 270.5 311.1 283.0   Dist. 8..............................................
  Dist. 8A............................................
191
12
146
12
WORLD CRUDE PRICES
Cheyenne....................... 330.9 373.3 329.0 $/bbl
  Dist. 9.............................................. 2 0 OPEC reference basket Wkly. avg. 10-7-22 94.02
Denver............................ 330.6 371.0 359.8   Dist. 10............................................ 4 3
Salt Lake City................. 362.9 413.2 371.0 Utah................................................... 13 10 – Mo. avg., $/bbl – – Year to date –
  PAD IV avg................. 341.5 385.8 353.3 West Virginia...................................... 17 10 Jul.-22 Aug.-22 2021 2022
Wyoming............................................ 19 18
Los Angeles.................... 513.9 600.4 430.4 Others–NV, HI..................................... 2 0 Spot crudes
Phoenix.......................... 389.6 427.0 308.9 North Sea dated 112.63 99.62 66.97 107.33
Portland......................... 406.2 463.4 363.4   Total US......................................... 762 533 Dubai - Fateh 32 102.87 96.33 65.56 101.30
San Diego....................... 507.7 594.3 426.9   Total Canada................................. 215 167 Light Louisiana Sweet - USA 102.53 94.21 65.88 102.36
San Francisco................ 528.3 614.9 441.4 Mars - USA 96.89 89.93 63.84 97.70
Seattle........................... 468.6 536.4 386.4   Grand total.................................... 977 700 Urals - Russia 85.32 77.34 65.63 85.25
  PAD V avg.................. 469.1 539.4 392.9 US oil rigs.......................................... 602 433 West Texas Intermediate - USA 100.25 91.57 64.22 100.33
US gas rigs........................................ 158 99 OPEC Reference Basket 108.55 101.90 65.93 105.29
Week’s avg.................... 323.3 377.2 318.5 Total US offshore................................ 13 11
Sept. avg....................... 316.9 370.8 316.6 Differentials
Total US cum. avg. YTD...................... 707 452 North Sea dated/WTI 12.38 8.05 2.76 7.01
Aug. avg......................... 344.6 398.5 317.7 North Sea dated/LLS 10.10 5.41 1.09 4.97
2022 to date.................. 351.4 405.2 — Rotary rigs from spudding in to total depth. North Sea dated/Dubai 9.76 3.29 1.41 6.03
2021 to date.................. 237.9 289.8 — Definitions, see OGJ Sept. 18, 2006, p. 46.
Source: Baker Hughes Inc. Crude oil futures
*
Includes state and federal motor fuel taxes and state Data available at Oil & Gas Journal Research Center. NYMEX WTI 99.38 91.48 64.23 100.06
sales tax. Local governments may impose additional taxes. ICE Brent 105.12 97.74 67.08 104.00
Source: Oil & Gas Journal. DME Oman 102.90 97.24 65.71 101.47
Data available at Oil & Gas Journal Research Center.
Spread
ICE Brent-NYMEX WTI 5.74 6.26 2.85 3.94
Source: OPEC Monthly Oil Market Report.
Data available at Oil & Gas Journal Research Center.

REFINED PRODUCT PRICES IHS PETRODATA RIG COUNT

9-30-22 9-30-22   OCTOBER 7, 2022
¢/gal ¢/gal

Total Marketed Marketed
supply supply Marketed utilization US NATURAL GAS STORAGE1
Spot market product prices of rigs of rigs contracted rate (%) 9-30-22 9-23-22 9-30-21 Change,
No. 2 Distillate US Gulf of –——––—— bcf —––——– %
Motor gasoline   Mexico. . . . . . 46 34 28 82.4
 (Conventional-regular) Ultra Low sulfur diesel fuel East.................................... 756 721 806 (6.2)
  New York Harbor.......... 339.00 South Midwest.............................. 916 879 966 (5.2)
  New York Harbor.......... 269.20   America . . . . 39 35 35 100.0
  Gulf Coast................... 262.00   Gulf Coast................... 337.20 Mountain............................. 184 176 205 (10.2)
  Los Angeles................. 371.90 Northwest Pacific................................. 247 243 247 0.0
Europe. . . . . 65 61 55 90.2 South Central 1,003 958 1,048 (4.3)
Motor gasoline West Salt................................. 225 204 256 (12.1)
  (RBOB-regular) Kerosine jet fuel
  Africa. . . . . . 44 35 29 82.9 Nonsalt........................... 778 754 792 (1.8)
  New York Harbor.......... 482.60   Gulf Coast................... 352.20 Middle
  East. . . . . . . 169 157 144 91.7 Total US.............................. 3,106 2,977 3,272 (5.1)
No. 2 heating oil Propane Southeast
  New York Harbor.......... 324.00   Mont Belvieu............... 86.50 July-22 July-21 Change,%
  Asia. . . . . . . 59 55 47 85.5
  Worldwide. . . . 681 597 523 87.6 Total US2............................. 2,505 2,755 (9.1)
1
Working gas. 2At end of period.
Source: EIA Weekly Petroleum Status Report. Source: IHS Petrodata Source: Energy Information Administration
Data available at Oil & Gas Journal Research Center. Data available in Oil & Gas Journal Research Center. Data available at Oil & Gas Journal Research Center.
Oil & Gas Journal | Oct. 17, 202215

221017OGJ014-016.indd 15 10/13/22 12:00 PM

 STATISTICS
BAKER HUGHES DRILLING PRODUCTIVITY REPORT
INTERNATIONAL RIG COUNT NEW-WELL OIL PRODUCTION PER RIG*
–––––– Sept. 2022 ––––– Sept. 2021 Sep.-22 Oct.-22 Sep.-22 Oct.-22
 Region Land Off. Total Total –––––––––– b/d ––––––––– Change ––––––––––– Mcf/d –––––––– Change

  WESTERN HEMISPHERE Anadarko 711 713 2 3,835 3,843 8

  Argentina................................. 56 0 56 45 Appalachia 191 191 0 27,855 27,869 14
  Bolivia...................................... 3 0 3 2 Bakken 1,732 1,735 3 2,537 2,552 15
  Brazil....................................... 3 10 13 9 Eagle Ford 1,688 1,654 (34) 6,386 6,258 (128)
  Canada.................................... 210 1 211 153 Haynesville 20 20 0 10,912 10,858 (54)
  Chile........................................ 2 0 2 2
  Colombia.................................. 34 0 34 21 Niobrara 1,500 1,485 (15) 3,759 3,703 (56)
  Ecuador.................................... 11 0 11 7 Permian 1,083 1,078 (5) 2,127 2,116 (11)
  Mexico...................................... 29 22 51 42 Rig-weighted avg. 997 996 (1) 5,671 5,587 (84)
  Peru......................................... 3 0 3 3
  Trinidad.................................... 0 1 1 2   *Drilling data through Sep., projected production through Oct.
  US............................................ 747 15 762 508   Source: US Energy Information Administration. Data available in Oil & Gas Journal Research Center.
NOTE: No new data at press time.
  Venezuela................................. 0 0 0 0
  Other........................................ 6 0 6 7
  
  Subtotal...................................
--------------- ---------------
1,104 49
--------------- ---------------
1,153 801 DRILLING PRODUCTIVITY REPORT
 ASIA-PACIFIC PRODUCTION BY REGION
  Australia.................................. 20 3 23 25
  Brunei...................................... 0 1 1 0 Oil production Gas production
  China-offshore......................... 0 42 42 35
  India........................................ 62 15 77 74 Sep.-22 Oct.-22 Sep.-22 Oct.-22
  Indonesia................................. 25 9 34 39 –––––––––– 1,000 b/d ––––––––– Change ––––––––––– MMcf/d –––––––––– Change
  Japan....................................... 2 0 2 2
  Malaysia.................................. 0 4 4 3
  Myanmar.................................. 0 0 0 2 Anadarko 424 432 8 6,715 6,724 9
  New Zealand............................ 2 1 3 3 Appalachia 120 122 2 35,486 35,577 91
   Papua New Guinea................... 0 0 0 0 Bakken 1,183 1,204 21 3,191 3,223 32
  Philippines............................... 1 0 1 1 Eagle Ford 1,224 1,250 26 7,101 7,220 119
  Taiwan..................................... 2 0 2 2 Haynesville 37 37 0 15,835 16,023 188
  Thailand................................... 3 9 12 4 Niobrara 648 657 9 5,223 5,238 15
  Vietnam................................... 0 4 4 4 Permian 5,347 5,413 66 20,584 20,736 152
  Other........................................ 0 0 0 0 Total 8,983 9,115 132 94,135 94,741 606
   --------------- --------------- --------------- ---------------
  Subtotal................................... 117 88 205 194
 AFRICA   Source: US Energy Information Administration
  Algeria..................................... 34 0 34 26 NOTE: No new data at press time.
  Data available in Oil & Gas Journal Research Center.
  Angola...................................... 0 7 7 4
  Congo....................................... 0 1 1 0
  Gabon......................................
  Kenya.......................................
2
4
1
0
3
4
4
5 DRILLING PRODUCTIVITY REPORT PROPANE PRICES
  Libya........................................ 4 0 4 14 DRILLED BUT UNCOMPLETED WELLS (DUC)
  Nigeria..................................... 6 1 7 11 Aug. Sept. Aug. Sept.
  South Africa............................. 0 0 0 0 2022 2022 2021 2021
  Tunisia..................................... 2 0 2 1 Jul.-22 Aug.-22 Change ——–—–––––– ¢/gal —––––––—––
  Other........................................ 9 9 18 13
   --------------- --------------- --------------- --------------- Anadarko 716 709 (7)  Mont
  Subtotal................................... 61 19 80 78   Belvieu 109.30 99.10 111.50 129.10
  MIDDLE EAST Appalachia 529 521 (8)
  Abu Dhabi................................ 36 13 49 38 Bakken 426 425 (1)   Source: EIA Weekly Petroleum Status Report
  Dubai....................................... 0 1 1 0 Eagle Ford 620 622 2   Data available at Oil & Gas Journal Research Center.
  Egypt........................................ 25 7 32 28 Haynesville 483 491 8
  Iran.......................................... 0 0 0 0
  Iraq.......................................... 55 0 55 43 Niobrara 345 354 9
  Jordan...................................... 0 0 0 0 Permian 1,180 1,161 (19)
  Kuwait...................................... 27 0 27 24 Total 4,299 4,283 (16)
  Oman....................................... 47 0 47 44
  Pakistan................................... 7 0 7 16   Source: US Energy Information Administration
  Qatar........................................ 3 8 11 11   Data available in Oil & Gas Journal Research Center NOTE: No new data at press time.
  Saudi Arabia............................ 60 12 72 61
  Sudan...................................... 2 0 2 0
  Syria......................................... 0 0 0 0
  Yemen...................................... 2 0 2 1
  Other........................................
  
1
---------------
2
---------------
3 3
--------------- ---------------
MUSE, STANCIL
US
& CO. US
REFININGUS
MARGINS
US North- South-
  Subtotal................................... 265 43 308 269
 EUROPE Gulf East Mid- West west east
  Croatia..................................... 0 0 0 0 Coast Coast west Coast Europe Asia
  Denmark.................................. 0 0 0 0 ––––––––––––––––––––––––––––––––––– $/bbl –––––––––––––––––––––––––––––––––––
  France...................................... 1 0 1 2
  Germany................................... 2 1 3 1   Sept. 2022
  Hungary................................... 2 0 2 2   Product revenues 119.84 118.99 126.91 155.24 126.81 103.61
  Italy.......................................... 3 1 4 1   Feedstock costs (89.51) (96.61) (79.33) (101.31) (89.49) (94.95)
  Netherlands............................. 1 2 3 2
  Norway..................................... 0 18 18 17    Gross margin 30.33 22.38 47.58 53.93 37.32 8.66
  Poland...................................... 2 0 2 2   Fixed costs (2.78) (3.86) (3.13) (3.65) (3.13) (2.43)
  Romania.................................. 4 0 4 3   Variable costs (1.42) (1.25) (1.13) (2.36) (2.44) (2.71)
  Turkey....................................... 21 2 23 21   Cash operating
  UK............................................ 0 12 12 10
  Other........................................ 34 0 34 45   margin 26.13 17.27 43.32 47.92 31.75 3.52
   --------------- --------------- --------------- ---------------    Aug. 2022 25.07 20.50 37.73 22.41 28.46 4.90
  Subtotal................................... 70 36 106 106    YTD avg. 27.61 20.94 33.63 30.30 29.29 7.99
  Total......................................... 1,617 235 1,852 1,448    2021 avg. 8.66 6.82 15.92 13.25 5.51 (1.09)
   2020 avg. 2.14 1.01 6.98 7.15 1.68 (1.20)
  
. Definitions, see OGJ Sept. 18, 2006, p. 42.    2019 avg. 5.95 2.55 16.84 14.34 3.24 1.44
   Source: Baker Hughes Inc.
   Data available at Oil & Gas Journal Research Center.   Source: Muse, Stancil & Co. See OGJ, Jan. 15, 2001, p. 46
  Data available at Oil & Gas Journal Research Center.

WORLD BIOFUELS PRODUCTION MUSE, STANCIL & CO.

Jun.-22 Jul.-22 Aug.-22
–––––––––––– 1,000 b/d –––––––––––

US GAS PROCESSING MARGINS
Gulf Mid-
Coast continent
Ethanol   Sept. 2022 ———–– $/Mcf —–—–—
OECD Americas 1,078 1,016 1,016
OECD Europe 111 107 107   Gross revenue
OECD Asia Oceania 4 5 5   Gas 7.31 5.75
  Liquids 1.05 2.99
Total OECD 1,193 1,127 1,127   Gas purchase cost 8.14 7.72
Non-OECD 1,044 1,183 1,165   Operating costs 0.07 0.15
Total ethanol 2,237 2,309 2,291   Cash operating margin 0.16 0.87

Biodiesel   Aug. 2022 0.10 0.55

   YTD avg. 0.43 1.38
OECD Americas 233 242 242    2021 avg. 0.44 0.54
OECD Europe 310 348 348    2020 avg. 0.18 0.57
OECD Asia Oceania 18 11 11    2019 avg. 0.25 0.62
Total OECD 561 601 601   Breakeven producer payment,
Non-OECD 464 464 464    % of liquids 82% 69%
Total biodiesel 1,025 1,065 1,065
  Source: Muse, Stancil & Co. See OGJ, May 21, 2001, p. 54.
Total global biofuels 3,262 3,374 3,356   Data available at Oil & Gas Journal Research Center.
Source: International Energy Agency
Data available in Oil & Gas Journal Research Center
NOTE: No new data at press time.
16 Oil & Gas Journal | Oct. 17, 2022

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 2022-2023 EVENT CALENDAR
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